In a scenario where a company is diversifying its product line, what changes in organizational design would you recommend?

  • Establish a flat organizational hierarchy
  • Focus on a functional organizational design
  • Implement a matrix organizational structure
  • Maintain the current structure
Diversifying the product line often requires a matrix organizational structure. This design enables teams to work both on their functional responsibilities and on specific projects related to the new product line, fostering innovation and collaboration.
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